The purpose of this paper is to estimate the regional economic impacts caused by the construction and the operation of the distribution center. To do that, the regional input-output technique is applied and the national input-output data by the Bank o...
The purpose of this paper is to estimate the regional economic impacts caused by the construction and the operation of the distribution center. To do that, the regional input-output technique is applied and the national input-output data by the Bank of Korea are employed.
From the result of the analysis, it has been found that the operation of the distribution center reduces direct transportation costs remarkably. With a indirect viewpoint, these facilities increase the regional income due to the construction and the operation simultaneously. Therefore, both central and local governments have to activate the introduction of the distribution centers with a desirable combination between equity and efficiency.